How to start a business with little or no capital

Before setting out to start up a business, a feasibility study must be carried out…

Before setting out to start up a business, a feasibility study must be carried out.

With the incessant rise in unemployment rate in Nigeria, a large percentage of young minds have taken the bull by the horn. Instead of applying for jobs and waiting for positive response from the company, many youths delved into entrepreneurship start-ups, becoming their own boss.

Despite the growth rate of entrepreneurship start-ups, we still find a lot of youth complain about having a good business plan but having not enough to start up a venture. This shouldn’t stop the dream of owning a business venture.

Before setting out to start up a business, a feasibility study must be carried out before going into a business, getting an idea of how much would be needed on capital, running cost, and also identifying possible challenges the business might face.

Here are 4 ways to raise capital for a new business

1. Family and friends

Meet wealthy family members, friends that are financially buoyant enough to help start up your business. If they are not willing to part ways with their hard earned money, you could ask for a loan from them, giving a time range for refunding the money.

2. Crowdfunding

Crowdfunding is a platform where people raise monetary funds through contributions from a large number of people. There are lots of online crowdfunding site. A popular crowdfunding website is gofundme.com

3. Angel investors

These are people who take interest in a business plan of an individual or a group and are willing to invest in a business, willing to accept risks and having little or no control at all.

4. Selling off assets

As a budding entrepreneur, parting ways with personal items shouldn’t be a problem. Selling off personal assets is a way to raise capital for a new business. Landed properties, automobiles, mobile phones are good assets that can kick start a business.